BTC price nears $40K as as Bitcoin trader eyes return to all-time high – Cointelegraph

Bitcoin (BTC) maintained near the $40,000 milestone on December 3, after consolidating its “strong” upward trend with a weekend rally.

BTC/USD 1 hour chart. Source: TradingView

Bitcoin remains $60 million short

Cointelegraph Markets Pro and TradingView Tracking the new surge in BTC price, BTC/USD has risen to a new 2023 high of $39,730.

These build on the upward momentum that had been in place a few days earlier, with Bitcoin reaching $39,000 for the first time since mid-2022.

As derivatives trading began towards the end of the trading week on Wall Street, commentators were arguing that spot buyers needed to step up to maintain momentum. In the end, things took an unexpected turn and Bitcoin and altcoins soared, dispelling any previous resistance.

As part of an interview with X (formerly Twitter), popular trader Skew was suggested “It looks like someone is wearing shorts all over most pairs.”

This set the price trend for BTC near the opening price of the week in question. CME Bitcoin futures ended the week at $39,225, leaving a gap with the spot price that would normally be “filled” with a push.

However, fellow trader Daan Crypto Trades analyzed the current situation and predicted that this time will be different.

“When $BTC is in a strong trend (up or down), especially when trading at yearly highs or price discovery. Weekend moves like this tend to leave a lot of people behind. , creating a gap that never gets filled or doesn’t get filled until weeks later,” reads part of the article. ×post He explained.

“In a strong trend environment, trading CME prices no longer has such a strong advantage. Sideways chops are great, but this is different.”

Annotated chart of BTC/USD with CME futures price data. Source: Daan Crypto Trades/X

Daan Crypto Trades agreed that the area around Friday’s close offers an opportunity to “trap” short sellers.

“I didn’t share the regular CME chart because I thought there was a pretty good chance of a big move over the weekend. So far, my suspicions have been correct, and people trying to short this move are understandably “That would have been the case,” he wrote.

Data from statistics resources coin glass showed that approximately $30 million in BTC shorts were liquidated on both December 1st and December 2nd.

BTC liquidation chart (screenshot).Source: Coin Glass

BTC price in “All the Way Up Mode”

Meanwhile, with $40,000 in sight, market participants focused on bullish signals on a longer time frame.

Related: Bitcoin ETF will boost BTC price by 165% in 2024 — Standard Chartered

For popular Twitter commentator Alan Tardigrad, BTC/USD was well out of its downward channel since its all-time high of $69,000 in November 2021.

“Bitcoin has gone into all-the-way-up mode,” he says. commented A chart showing how the recent price movement of BTC has decisively broken out of the trend.

BTC/USD comparison chart. Source: Alan Tardigrade/X

Commentator Bitquant, known for his bullish view on Bitcoin in the current environment, is eyeing a return to highs before “some kind of correction” takes hold.

Both perspectives are guiding the actions from the previous Bitcoin bull market.

In September, BitQuant made a bold prediction that BTC/USD would reach a new all-time high by April 2024 (just four months away) when the next block subsidy is halved.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk and readers should conduct their own research when making decisions.